Here it is
-----Original Message-----
From: Watson, Ann [mailto:anw@cpuc.ca.gov]
Sent: Tuesday, August 28, 2001 1:22 PM
To: 'smara@enron.com'
Subject: FW: MOTION SEEKING ORDER OR STAY CANCELING OR SUSPENDING CALIFORNIA DEPARTMENT OF WATER RESOURCES LONG-TERM ENERGY CONTRACTS AND ASSOCIATED I OU RATE SCHEDULES FOR LACK OF PROPER NOTICE UNDER THE FPA

Ann Watson
Advisor to Commissioner Bilas
California Public Utilities Commission
(415) 703-1175
fax: (415) 703-5091
email: anw@cpuc.ca.gov

-----Original Message-----
From: Boyd, Mike [ <mailto:Mike.Boyd@Aspect.com<]
Sent: Tuesday, August 28, 2001 11:22 AM
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Subject: MOTION SEEKING ORDER OR STAY CANCELING OR SUSPENDING CALIFORNIA
DEPARTMENT OF WATER RESOURCES LONG-TERM ENERGY CONTRACTS AND ASSOCIATED
I OU RATE SCHEDULES FOR LACK OF PROPER NOTICE UNDER THE FPA

< MOTION SEEKING ORDER OR STAY CANCELING OR SUSPENDING CALIFORNIA DEPARTMENT
< OF WATER RESOURCES LONG-TERM ENERGY CONTRACTS AND ASSOCIATED IOU RATE
< SCHEDULES FOR LACK OF PROPER NOTICE UNDER THE FPA
<
< Pursuant to Rules 212 of the Rules and Practices and Procedures of the
< Federal Energy Regulatory Commission ("FERC"), 18 C.F.R. 385.212,
< CAlifornians for Renewable Energy, Inc. ("CARE"), moves for the
< Commission's consideration and action to remedy the illegal execution of
< long-term energy contracts by the California Department of Water Resources
< ("DWR") in regards to the CARE and other party's complaints in EL00-95
< et.al. Under section 205© of the Federal Power Act (49 Stat. 851; 16
< U.S.C. 824d©) the DWR long-term energy contracts recently disclosed
< through legal action by the California legislature and press requires that
< these contracts "shall be tendered for filing with the Commission and
< posted not less than sixty days nor more than one hundred-twenty days
< prior to the date on which the electric service is to commence." We
< contend that DWR has failed to comply with the requirements of the FPA in
< this matter. The remedy CARE seeks is for the Commission to issue an Order
< or Stay canceling or suspending such long-term energy contracts and
< associated IOU rate schedules (yet to be submitted to the Commission)
< pursuant to FPA section 205 ©.
<
< DWR disputes its requirements to provide proper notice prior to execution
< of said long-term contracts to all the parties to this case and to the
< public who have in a statutory and constitutional right to comment on
< expenditures of the public's funds in this manner by DWR. In response to
< CARE's CPRA request DWR states the "Department's purchases and sales of
< power are exempt from the Federal Power Act because DWR is a state agency.
< Section 201(f). To the extent that the Department engages in purchases or
< sales with counterparties who are subject to Federal Power Act
< jurisdiction, any obligation to file with FERC or otherwise comply with
< the Act lies with the counterparty to the contract, and not the
< department."
<
< CARE contends that DWR is acting as an "designated representative" for the
< Investor Owned Utilities ("IOUs") in the purchase of energy in California,
< pursuant to 18 CFR 35.1 (a), without authorization by the Commission.
<
< "In cases where two or more public utilities are required to file
< rate schedules or certificates of concurrence such public utilities may
< authorize a designated representative to file upon behalf of all parties
< if upon written request such parties have been granted Commission
< authorization therefore."
<
< CARE contends these actions by DWR violated the requirements of 18 CFR
< 35.1 (4)(e).
<
< "No public utility shall, directly or indirectly, demand, charge,
< collect or receive any rate, charge or compensation for or in connection
< with electric service subject to the jurisdiction of the Commission, or
< impose any classification, practice, rule, regulation or contract with
< respect thereto, which is different from that provided in a rate schedule
< required to be on file with this Commission unless otherwise specifically
< provided by order of the Commission for good cause shown."
<
< CARE contends that ample evidence of DWR's acting as the California IOU's
< "designated representative" is provided by DWR's request to the California
< Public Utilities Commission ("PUC") for a Revised Revenue Requirement and
< Power Purchase Costs Pursuant to Water Code Section 80110 and Public
< Utilities Code Section 451 , which is further illustrated by the PUC's
< Administrative law Judge's Ruling on the August 7, 2001 Revenue
< Requirement of the DWR regarding the IOU S.D.G. & E. applications
< 01-10-044, and 01-01-0045 to the PUC , which states:
<
< "SDG&E shall present alternative calculations of the required system
< average rate increases that (1) collect the DWR-related rate increases
< over the remaining 5 quarters of the revenue requirement period set forth
< in Table A-6 (i.e., the fourth quarter of 2001 and the four quarters of
< 2002), (2) collect the DWR-related rate increases over the next 8 quarters
< (i.e., the fourth quarter of 2001, the four quarters of 2002, and the
< first three quarters of 2003), and (3) collect the DWR-related rate
< increases over the period from September 1, 2001 through December 31,
< 2002."
<
< Clearly it is the intent of the DWR to act as the IOU's "designated
< representative" to seek approval from the PUC "to collect the DWR-related
< rate increases".
<
< CARE reiterates, it is the public policy that public agencies exist to aid
< in the conduct of the people's business and that the proceedings of public
< agencies be conducted openly so that the public may remain informed. It is
< the intent of the law that actions of public agencies be taken openly and
< that their deliberation be conducted openly. The people do not yield their
< sovereignty to those agencies that serve them. The people, in delegating
< authority, do not give their public servants the right to decide what is
< good for the people to know and what is not good for them to know. The
< people insist on remaining informed so that they may retain control over
< the instruments they have created. DWR has breached its public duties by
< failing to provide for myself, CARE, its members, and other members of the
< public, our statutory and constitutional right to comment or protest these
< long-term energy contracts executed by DWR, the associated expenditures of
< the public's funds, and associated rate increases to California energy
< consumers.
<
< In conclusion the Remedy CARE seeks is for the Commission to issue an
< Order or Stay canceling or suspending such long-term energy contracts and
< associated IOU rate schedules (yet to be submitted to the Commission)
< pursuant to FPA section 205 ©, or under what ever statutory authority as
< you deem appropriate.
<
< Respectfully submitted,
< Michael E. Boyd President, CARE 8-28-01 (408)
< 325-4690
< <<...OLE_Obj...<<
<